How to Buy Dogecoin in 4 Easy Steps

CoinW Exchange
5 min readDec 29, 2023
Photo by Kanchanara on Unsplash

In the often-serious jungle of cryptocurrencies, where seriousness and speculation reign supreme, prances the playful meme-spawned Dogecoin, considered to be the first “meme coin.” Launched in 2013, it has gone from a quirk of the digital age to a multi-billion dollar financial phenomenon, a testament to the power of community and internet humor.

But is it just a fleeting joke, or does the Doge hold its own in the digital gold rush? This article will peel back the layers of Dogecoin, from its meme-tastic origins to its practical uses and how to buy it.

What IS Dogecoin?

Dogecoin has consistently been one of the top 20 cryptocurrencies, with a current market cap of a boggling $13 billion. What’s even more boggling is that Dogecoin was created by Billy Markus and Jackson Palmer as a satire of the booming cryptocurrency scene in 2013, but quickly gained traction, garnering a passionate community and surprising growth. Elon Musk’s occasional endorsements on Twitter only fueled its popularity, sending the price soaring at times.

Dogecoin is based on the Scrypt algorithm, forked from Litecoin, which itself is a fork of Bitcoin. This makes it energy-efficient compared to its proof-of-work ancestors. However, critics point out its lack of significant technological innovation compared to newer blockchains.

What is Dogecoin Used For?

While many view Dogecoin as primarily a speculative asset, its use cases are expanding. It’s used for tipping content creators online, funding charitable projects, and even making everyday purchases with merchants who accept it. The community also drives numerous initiatives, from developing gaming platforms to supporting space exploration missions.

How to Buy Dogecoin

  1. Register for an account on a crypto exchange. CoinW offers a secure, seamless trading experience, with highly competitive trading fees. Follow the signup process. Provide basic information like email, name, and phone number. Be sure to choose a strong password and enable two-factor authentication for extra security.
  2. Fund your account: You need money to buy Dogecoins! Most exchanges allow deposits via bank transfers, credit cards, or debit cards. Fees may apply, so check beforehand.
  3. Get to the “Buy” section: Each exchange has its own interface, but look for a Buy/Trade section or search for “Dogecoin” directly, and choose your buying method:
  4. Market Buy: Quick and easy, you buy Dogecoins at the current market price.
  5. Limit Buy: Set a specific price you’re willing to pay, the order will only be filled if the price reaches your limit.
  6. Decide your investment: Enter the amount of Dogecoins you want to buy (or the amount of money you want to spend). Remember, even small fractions of a Dogecoin are possible. Confirm purchase and voila, you’ve become a part of the Dogecoin community!

Bonus tips:

  • Do your research: Read about Dogecoin and understand the risks involved before investing.
  • Start small: Don’t go all-in on Dogecoins, especially as a beginner. Invest within your comfort zone.
  • Store your Dogecoins safely: Transfer them to a secure wallet if you plan to hold them for longer periods.
  • Join the Doge community: Get involved in online forums and groups to learn from other Dogecoin enthusiasts.

Latest Development: What are DRC20 tokens?

DRC-20 is a new standard for creating tokens on top of the Dogecoin blockchain, similar to how ERC-20 tokens operate on Ethereum. The “DRC” in DRC-20 stands for Dogecoin Request for Comment.

DRC-20 solves several purposes:

  • Enables tokenization on Dogecoin: Prior to DRC-20, creating custom tokens on Dogecoin wasn’t feasible. Now, developers and individuals can build projects like stablecoins, NFTs, and decentralized applications (dApps) on the Dogecoin network.
  • Expands the Dogecoin ecosystem: DRC-20 opens up new avenues for Dogecoin’s usage. Tokenized assets can be traded, utilized in DeFi protocols, and integrated into various applications, potentially increasing engagement and utility within the Dogecoin community.
  • Offers lower fees and faster transactions: Compared to other popular token standards like ERC-20, DRC-20 boasts lower transaction fees and faster processing times. This can attract developers and users looking for a more cost-effective alternative.
  • Increases Dogecoin adoption: By enabling a richer ecosystem of tokens and applications, DRC-20 could attract new users and developers to the Dogecoin network, potentially boosting its adoption and value.

However, it’s important to note that DRC-20 is still relatively new and faces some challenges:

  • Limited network effects: The Dogecoin network itself needs to see increased activity and usage for DRC-20 tokens to fully flourish.
  • Security concerns: As with any new technology, vulnerabilities and security exploits could arise within the DRC-20 ecosystem.
  • Regulatory uncertainty: The regulatory landscape surrounding DRC-20 tokens is still unclear, which could pose risks for users and developers.

Overall, DRC-20 holds significant potential for expanding the Dogecoin ecosystem and enabling new use cases. However, its long-term success will depend on addressing existing challenges and fostering wider adoption within the cryptocurrency community.

Dogecoin Price History

Dogecoin price history (Source: CoinMarketCap)

Dogecoin’s price history has been a wild ride, marked by dramatic spikes and dips:

  • 2013: Launched at ~ $0.0002, quickly surged 1,061% in 15 days.
  • 2014–2017: Mostly remained quiet, with a peak of $0.004 in early 2017.
  • 2021: Exploded over 9,884% between January and May, fueled by Elon Musk tweets and Reddit hype, reaching an all-time high of $0.74.
  • 2022–2023: Saw significant price drops following the broader crypto market downturn, currently hovering around $0.094.

Overall, Dogecoin’s price has been highly volatile, driven by social media sentiment, celebrity endorsements, and broader market forces. It’s considered a risky investment but retains potential for future growth due to its strong community and meme-based appeal.

Controversies About Dogecoin

Dogecoin hasn’t been without its share of controversy. Critics often dismiss it as a “pump-and-dump” scheme due to its volatile price swings, fueled by social media hype.

The Future of Dogecoin

Dogecoin’s future remains uncertain. It faces stiff competition from more established and technologically advanced cryptos. However, its unique strengths — a vibrant community, playful spirit, and low entry barrier — could prove valuable in attracting new users to the wider world of blockchain. Ultimately, Dogecoin’s success will depend on finding a balance between its playful origins and evolving into a sustainable, real-world use case.

Whether Dogecoin remains a meme-fueled curiosity or evolves into a legitimate force in the crypto landscape, it’s a reminder that in the world of decentralized currencies, sometimes, the most unexpected players can hold the most fascinating stories.

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